tenants leaving early fixed term AST

poolboy

I am a landlord & my tenants have decided they may leave early from a fixed term AST with no break clause.

A discount was given in the rent due to their signing a fixed term no break clause deal so I feel a bit miffed.

The only reason the tenant gave for doing this is that they think they can.

So:

Do I accept the situation & just get another tenant accepting any void costs as one of life's learning exercises.

Pursue the lost rent via moneyclaim online. (I have their home address details & a parental guarantee). The contract clearly states the obligations of LL & T.

The flat will rent again easily for similar money.

Any advice welcome

Blacksheep1979

take them + their parents to court - send a letter warning of your intentions first, you'll probably find the parents more reasonable/less willing to damage their credit rating than their kids.

scottishblondie

Have you explained to them that they have signed a contract agreeing to pay rent for the full term of the agreement? You say it's because "they think they can", maybe a polite letter explaining "you can't really" would help? Or you could try to come to an agreement about how much they need to pay for you to release them from the contract early, if you are sure you can rent it out again easily.

BitterAndTwisted

You are entitled to charge your tenants the full rent until the end of the contract. In view of that I would tell the tenants that you only agree to them giving up their tenancy early if they pay any re-advertising costs and cover any void period. They'll be getting off lightly and you should make it clear to them that they should understand what being legally bound by the terms of a contract means when they sign it, not think they can break it if it suits.

poolboy

Thanks for the comments.

I will write to them as proposed before I pursue them for the full amount.

I am miffed that they think they can just walk away without penalty. It is a business venture not a charity.

To be honest if they explained the real reason, falling out, financial hardship etc, I would be more caring but as it is I think they deserve a CCJ & bad references.

chewmylegoff

if they do leave, you have a responsibility to mitigate your loss by trying to find another tenant, so you can't just leave the property empty and sue them for rent for the remainder of the fixed term. you could pursue them or their parents for the loss you incurred by suffering a void, and the cost of readvertising the property. also, if you are unable to rent the property at the same price, you could claim the difference between the old rent and the new rent for the remainder of the fixed term of the old contract.

presume you could just deduct it from the deposit if that is large enough?

Fire_Fox

No point in being miffed, as you say it is a business. The tenants simply have not understood the nature of the legally binding contract they have signed so you should remind them in a professional manner. Wishing CCJs on tenants who are not yet in arrears comes over as vindictive not business-like.

tbs624

poolboy wrote: »

I am a landlord & my tenants have decided they may leave early from a fixed term AST with no break clause.

A discount was given in the rent due to their signing a fixed term no break clause deal so I feel a bit miffed.

The only reason the tenant gave for doing this is that they think they can.

So:

Do I accept the situation & just get another tenant accepting any void costs as one of life's learning exercises.

Pursue the lost rent via moneyclaim online. (I have their home address details & a parental guarantee). The contract clearly states the obligations of LL & T.

The flat will rent again easily for similar money.

Get it marketed asap and tell the Ts that you'll need their support with viewings. Explaining in writing that, yes, they can go, but they have to pay until someone new, who is suitable, is in place and that advertising costs must be met by them.Explain that it is their interest to help get the property re-let.

It's understandable that you should feel miffed when you gave them a rent discount for forgoing a break clause but you have to accept that some people do behave in a shoddy fashion ( that applies whichever side of the fence you are on)

DVardysShadow

poolboy wrote: »

... my tenants have decided they may leave early from a fixed term AST with no break clause.

A discount was given in the rent due to their signing a fixed term no break clause deal so I feel a bit miffed....

Do I accept the situation & just get another tenant accepting any void costs as one of life's learning exercises. ...

Any advice welcome

If they are at a point where they could have exercised the break clause or would now be periodic, then offer to let them go, no hard feelings for paying back the discount.

poolboy

hi thanks for the responses & much appreciated.

It is midway through a fixed term so no notice either way. I have always done 12 month fixes & never had a problem - it is sad that the behaviour of 1 person tarnishes all the other good ones.

I just want them out the property amicably - they want a low 12 month fixed term & the freedom to leave like a hotel.

Property will be remarketed & any void costs taken from the deposit. Any landlord references will reflect their behaviour.

adg1

Check over your AST - some will make it very clear the costs associated with early termination in a clause.

Generally, it is to repay the landlord any advertising costs (to include reletting commissions from an agent), to pay the rent until another tenant of a comparable quality is found and to cover any shortfall in the new rental value until the end of the fixed term.

They need to understand that a contract is just that and that you are helping them out by letting them go early as you describe.